By 2022, there will be an estimated 3,000,000 solar systems in the United States. More solar-powered homes will be available for sale across Florida as solar panel installation becomes more common. Understanding how to value a solar power upgrade is becoming more important.
Many potential solar buyers want to know the financial implications of installing a Florida solar energy system. The Red Solar team can calculate the savings on your electric bills with Florida Power. However, it is more difficult to understand how your solar energy system will impact your home’s value. Let’s look into this fascinating topic.
Numerous studies show that solar energy can increase your home’s value by up to 80% compared with comparable homes without it. A solar energy system can increase your home’s value. Although different studies on solar resale have come up with different conclusions, the general conclusion is the same. The value of your home will increase if you add solar panels.
A 2019 Zillow Study compared homes without and with solar systems that were sold in 2018. Zillow estimated that the median home with solar panels cost $9,274. Zillow also found that solar homes sell at 4.1% higher prices than similar homes without them.
Solar houses are much more affordable to power than other types of homes. Your Florida Power bills will be dramatically reduced if you install a solar PV system. Red Solar customers often save over $1,000 annually on their power bills. Florida Power credits owners of solar systems for excess electricity that they supply to the grid under ” monthly energy metering”. We recommend that you act quickly to get into this program.
Many homebuyers are willing and able to spend more on solar-powered homes because of growing concerns about the environment and the use fossil fuels. People who want to reduce their dependence on fossil fuels and lower their carbon footprint will find a solar-powered home appealing.
Because they can withstand blackouts, solar homes with a backup battery system are much more appealing. Sometimes, electricity can be used to prevent basement flooding or frozen pipes. Solar batteries are a great option for homeowners who have a home office. They can prevent productivity loss. Solar energy systems with batteries provide security during blackouts, and enable Red Solar customers to have all the comforts of home.
All solar systems are not created equal. The Solar Energy Industries Association has created a guide to how to value a system of solar energy. They provide three methods of valuing a solar energy system.
This involves calculating the value for the solar system using the income that the solar system will produce for the homeowner over its remaining life. This income approach calculates the electricity cost savings the new owner would receive from Florida Power for their electricity.
This approach requires you to consider solar energy equipment degradation. As equipment ages, it becomes less efficient at producing electricity. Add the cost of the solar system to your equation.
This valuation method uses the cost to reproduce the solar PV system installed on the property. This method has a downside: solar equipment can depreciate over the course of time.
Comparable sales approach
This approach is very similar to that used in the Zillow study. This involves looking at similar properties with or without solar systems. This requires at least two sets to compare homes where one home has a solar system and the other doesn’t. This approach will become easier as more homeowners install solar panels to their homes.
First, determine if your solar system works properly. It’s a good idea to make any necessary repairs before you list the house for sale. A home buyer might find a problem with the system and make the house less attractive.
A copy of the Red Solar proposal can be helpful to the realtor. The proposal should include the cost of the solar energy system and information about warranty. Potential homebuyers will be more interested in your system if it is still under warranty. Your solar monitoring system and utility bills can help you see how much energy you generate and how much you save.
This post was written by a professional at Red Solar. Red Solar was started with the mindset of renewable energy being the future. We want everyone to travel through this transition. We can all agree that solar is the best way to reduce your carbon footprint, but it’s not the only way. During a Red Solar energy evaluation, all energy commons in your home will be analyzed for results. Our expert technicians will guide you through the process for better understanding and reassurance. Looking for one of the best solar installers Palm Springs? Then contact us for more information today!